The study investigates the effect of public debt on economic growth in Kenya, between 1980-
2013.The choices of period was guided by data availability and escalation of Kenya’s public
debt. The main problem is that, Kenya government has been relying heavily on public debt,
aid and grants as a source of finance. This has resulted to a buildup of the level of public debt
stock which has led to funds being diverted to debt servicing at the expense of economic
development and domestic consumption.